What is a Life Settlement?

A Life Settlement is a well regulated and viable option for senior Americans. Abacus has purchased over $5 billion in life insurance policies since 2004, with offers averaging 6 times the surrender value of a standard policy.

Below you will find a quick primer on what a Life Settlement is. However, we have also built an In-Depth Life Settlement Guide for those that want to deep dive into research on the industry. We are also always happy to answer your questions at 800-561-4148.

143

BILLION is forfeited back to life insurance companies each year in the U.S.

1

of Americans are aware that their policy has a market value

90

of seniors state they would have considered a life insurance settlement option if they knew it existed

76

MILLION Americans will be of retirement age by 2020 while only a small portion are financially secure

Is a Life Settlement Right For Me?

Our goal at Abacus Life is to empower you with the OPTIONS and KNOWLEDGE necessary to make the best financial decision for your future. That means being more than a life insurance purchaser. Abacus Life is also an industry-leading source of knowledge for the life settlement space. Selling a life insurance policy can be a complicated decision. In fact, for many individuals, the only large asset they own is their home. We believe that just like selling any other piece of personal property, selling your life insurance policy should be well regulated and the process shouldn’t be shrouded in mystery. Whether you are interested in a traditional life settlementretained benefit option, or a hybrid option, Abacus Life can help you identify the right option for your circumstances.

Why Would Someone Consider a Life Settlement:

  • The policy’s premiums are too expensive
  • The policyholder no longer has beneficiaries that rely on their financial support
  • The insured no longer feels that life insurance is necessary
  • The policyholder needs or wants supplemental income for retirement
  • The policy is reaching the end of it’s term
  • The insured requires funds to pay medical bills or long term care expenses

More reasons here

How Does a Life Settlement Work?

  1. We can run a life settlement valuation on your policy quickly and easily.
  2. Once we provide you estimated life settlement pricing, we must have our intake form completed.
  3. From that we will order life insurance illustrations and if needed medical records for underwriting. This will help us maximize the offer.
  4. Once we have a complete file, we will send you case out to our institutional Life Settlement funding sources for offers.
  5. Once we have the best offer for your particular life settlement, we will submit to you the formal offer for acceptance.
  6. There is no cost or obligation to accept an offer at any time.

Learn more here

Regulations

 

Over the past decade, the market has become incredibly well regulated. The entire life settlement market is regulated on a state-by-state basis instead of nationally. Therefore, the responsibility falls on each state’s government to make sure that companies are behaving ethically. The majority of states do require specific licensing and practice strict oversight to ensure customer safety. Accordingly here at Abacus Life, we are proud to share that we are licensed for life and viatical settlements in many different states.

Whoever you choose to work with, you should make sure they follow the correct guidelines; there are still some companies in the industry who do not operate under the appropriate licensure.

 

However, it is easy to find out how much your policy is worth! In as little as 24 business hours, we can provide you with a policy valuation, and it’s as simple as filling out our online calculator by clicking here. We don’t believe that you should have to wait the industry standard 45-60 days for life-saving treatment.

 

Selling your life insurance policy allows you to focus on what is most important to you, financial well-being.

“Fantastic people to work with. Every aspect of the case was executed professionally and the insured’s policy was strongly valued.” – David Sluss, CLU, ChFC

Life Settlements Explained

 

In 1911, Life Insurance was deemed personal property by the United States Supreme Court. In other words, just like your house or car, you have the legal right to sell your life insurance policy. While you can choose to surrender your policy back to your life insurance company, you will only receive a portion of what your policy is worth, leaving cash on the table.

On average, Abacus Life pays out 6-8x more than the cash surrender value of a life insurance policy, putting more money in your pocket.